GST late fee cannot be stacked with general penalty for the same delayed annual return default; attachment lifted on payment.

Where delayed filing of GST annual returns attracts late fee under Section 47(2), an additional general penalty under Section 125 for the same default is not warranted absent an independent basis for further penalty. The general penalty was therefore set aside, while the late fee was maintained as payable. Ancillary relief followed on compliance, and the bank attachment was to be lifted once the confirmed late fee was paid.

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Issues: Whether General Penalty under Section 125 of the GST enactments could be sustained in addition to Late Fee under Section 47(2) for delayed filing of annual returns, and whether the petitioner was entitled to consequential relief against the impugned demand and bank attachment.

Analysis: The challenge arose from non-filing of the annual return and belated filing under the GST regime. The decision followed the earlier view that Late Fee under Section 47(2) is penal in character, and once such late fee is levied, there is no scope to impose an additional General Penalty under Section 125 for the same default. The Court also noticed that the petitioner was directed to pay the late fee confirmed in the impugned order, and the bank attachment was linked to the same demand.

Conclusion: The imposition of General Penalty under Section 125 was set aside, while the levy of Late Fee under Section 47(2) was maintained and directed to be paid. The attachment of the bank account was ordered to stand lifted on payment of the confirmed late fee.

Final Conclusion: The writ petition succeeded only to the extent of deletion of the General Penalty, with the late fee demand remaining operative and ancillary relief granted on compliance.

Ratio Decidendi: Where the statute already imposes a penal late fee for delayed filing, an additional General Penalty for the same default is not warranted in the absence of any independent basis for such further penalty.

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